Ind AS Amendment Rules, 2026 notified: changes to Ind AS 101, 107, 109, 110 and 7 apply from 1 April 2026
G.S.R. 725(E) brings in the Annual Improvements to Ind AS (2024) and the amendments on contracts referencing nature-dependent electricity, for annual periods beginning on or after 1 April 2026.
In 30 seconds
- Notified on 12 August 2026 as G.S.R. 725(E), in consultation with NFRA; in force from publication in the Gazette.
- Five standards amended: Ind AS 101, Ind AS 107, Ind AS 109, Ind AS 110 and Ind AS 7.
- New paragraphs on “contracts referencing nature-dependent electricity” in Ind AS 109, with disclosures in Ind AS 107.
- The amendments are to be applied for annual reporting periods beginning on or after 1 April 2026.
हिंदी में सार
MCA ने 12 अगस्त 2026 को Companies (Indian Accounting Standards) Amendment Rules, 2026 अधिसूचित किए। Ind AS 101, 107, 109, 110 और 7 में संशोधन हुए हैं, जो 1 अप्रैल 2026 या उसके बाद शुरू होने वाले वार्षिक लेखा-काल पर लागू होंगे।
What has been notified
The Ministry of Corporate Affairs has notified the Companies (Indian Accounting Standards) Amendment Rules, 2026 under section 133 read with section 469 of the Companies Act, 2013. The rules amend the Annexure to the Companies (Indian Accounting Standards) Rules, 2015.
Standard-wise, what changes
| Standard | What the amendment touches |
|---|---|
| Ind AS 101 | Paragraphs B5–B6 on hedge accounting at the date of transition (Annual Improvements 2024) |
| Ind AS 107 | Disclosure paragraphs for contracts referencing nature-dependent electricity; paragraph 11A disclosures to be given for each class of investment, with fair value gain or loss in OCI shown separately for investments derecognised and those held |
| Ind AS 109 | New paragraphs 2.3A–2.3B and 6.10.1–6.10.2 on contracts referencing nature-dependent electricity; lease liabilities and derecognition (paragraph 2.1(b)(ii)); paragraph 5.1.3 and Appendix A |
| Ind AS 110 | Paragraph B74 on when a party is a “de facto agent” |
| Ind AS 7 | Paragraph 37 — investments in an associate, joint venture or subsidiary accounted for at cost |
Nature-dependent electricity contracts
The new paragraph 2.3A of Ind AS 109 describes these as contracts that expose an entity to variability in the underlying amount of electricity because the source of generation depends on uncontrollable natural conditions, for example the weather. They include contracts to buy or sell such electricity and financial instruments that reference it. Paragraph 2.3B says these provisions shall not be applied by analogy to other contracts.
From when
Each amended standard carries the same line: an entity shall apply the amendments for annual reporting periods beginning on or after 1 April 2026. The notification also records that the Ind AS corresponding to IFRS 18 is under formulation.
Published 12 August 2026. Updated 2 October 2026. This report is for general information and is not professional advice. Read the source document before acting on it.